With the peak season already completed in ocean freight, we can say with certainty that this year's peak season will be incredibly weak.
Back in June, FreightWaves reported that ocean container volumes were dropping quickly, based on data found in SONAR's Container Atlas, which tracks bookings volumes at the point of origin.
Weak import volumes weren't just limited to Los Angeles, but affected all the major West Coast ports.
The decline in volumes will take longer to hit East Coast ports, but it's already starting - September was Savannah's weakest month this year for loaded imports, down 9.8% year-over-year.
In June, the OTVI index registered an increase of 1%. A stable June provided some confidence to carrier executives that the slowdown in the earlier part of the year was just a cooling of volumes from the inflated levels of the COVID economy.
CEO Aaron Graft on factoring: "The decline in freight rates is starting to show up at TBC. September's gross revenue was $17.2 million, 8.2% less than a year ago. October is already tracking down 19% from a year ago."
While the timing of when the freight recession started will be hotly debated, carriers from the weakest spot participants to the best run are starting to realize that peak will be very weak.
https://www.freightwaves.com/news/for-freight-companies-this-years-peak-will-be-weak
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